Company formation in Estonia

375 € Online using e-Residency

550 € At the Notary (by visit or by proxy)

Are you considering the opportunity to establish a business in Europe and seeking the ideal jurisdiction to register a European company? Look no further!

Start a company in Estonia just in a few days!

It’s incredibly easy to open a company in Estonia. Choosing this EU country as the place to incorporate your enterprise is a smart decision because only in our country is there no corporate income tax on retained earnings.

Launch Your EU-Based Business in Estonia with Ease!

Setting up a company in Estonia can be done quickly and simply within one week. Company registration can be completed in person or remotely via a power of attorney or by using e-Residency.

We are a direct service provider, operating without intermediaries to offer you efficient and reliable assistance in establishing your company in Estonia. We operate under state company service provider license number FIU000144.

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Company Registration in Estonia

Setting up a Company in Estonia - Fast & Simple Business Formation

If you’re planning to launch your business in Europe and expand into the European Union market, then registering a company in Estonia is an ideal starting point. This strategic choice offers a gateway to the EU, along with a favorable business climate and advanced digital infrastructure.

Start Your Business in the EU: Why Choose Estonia

Estonia is renowned as one of the most open and dynamic economies in Europe, celebrated for its progressive and adaptable commercial environment. With a transparent and straightforward company formation process, your legal entity can be established and ready to operate within days.

Starting and Running a Business in Estonia

Business Opportunities in Estonia: Enjoy Zero Corporate Tax

If you’re determined to establish a company in Europe, prioritizing Estonia for your business setup should be a top consideration. For years, Estonia has focused on creating a welcoming and innovative business environment to attract foreign capital and entrepreneurs worldwide.

A Business-Friendly Haven for Digital Nomads and Innovators

Estonia is the perfect destination for setting up a business, especially for global entrepreneurs and digital nomads. Its e-Residency program enables easy online management of an EU-based business. The country offers a simple, competitive tax system and a tech-friendly environment, boasting a skilled workforce and a strong focus on innovation. Its strategic location provides easy access to Europe, making it a prime choice for international business expansion.

A Leading European Hub for Innovation and Fintech

Estonia has become a vibrant center for a diverse array of European IT clusters and forward-thinking startups. This includes blockchain ventures, crypto exchanges, and innovative Web 3.0 projects. It’s also a breeding ground for DAOs, NFT marketplaces, fintech companies, crowdfunding platforms, and emerging DeFi models, all contributing to its growing tech landscape.

Key Advantages of Doing Business in Estonia
Essential Benefits of Starting a Company in Estonia
For many years Estonia is a leading country (1st place) in the International Tax Competitiveness Index and consistently ranks high in the Economic Freedom Index (8th place) and in the Ease of Doing Business Index (18th place).
Establishing a company in Estonia is an effective way to launch your business project and enter international markets. It helps diversify risks, reduce administrative burdens, and lower the tax load on your existing enterprise.
0% Tax Rate on Retained Earnings
Company profits are not subject to corporate or income tax until distributed to shareholders. All profits can be fully utilized for business development or reinvested to generate additional income, making Estonia similar to a tax haven.
Minimum Share Capital is Just 0.01 €
When registering a company, founders can set the share capital at any amount. If it does not exceed 50,000 euros, the Commercial Register doesn’t require proof of payment into the charter fund (no bank or payment system confirmation needed).
A Fully Digital Nation
Estonia’s comprehensive digitization of the public sector and business environment allows foreign investors and entrepreneurs to easily and quickly register companies, manage finances, pay taxes, and conduct business entirely online.
This overview only scratches the surface of the numerous benefits associated with incorporating a company in Estonia. Starting your enterprise or startup here will favorably position you compared to other alternatives and help bring your business into the legal framework of the European Union quickly.

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Registering a Company in Estonia
Open a Company and Start Your Business in Estonia Quickly
Estonia has become a magnet for foreign entrepreneurs and investors due to its innovative approach to business regulation and the digital economy. Over the past 20 years, local government has actively pursued policies aimed at attracting foreign entrepreneurs and investors.
Ways to Set Up a Company in Estonia
The process of setting up a company in Estonia is completely free of bureaucracy, making it simple and transparent—anyone can create an entity in Estonia in just a few days.
Foreigners interested in opening a company in Estonia can use the following methods:
Register a Company Online with e-Residency
To set up a company in the specialized online environment of the Commercial Register, all active persons (shareholders and directors) will require an e-Residency card.
Term: 1 day | Price: from 375 €
Company Incorporation in Person
This procedure requires a personal visit to a notary’s office in Tallinn. Our lawyers will provide a preliminary consultation and legal support throughout the entire process.
Term: 1-5 days | Price: from 550 €
Open a Company Remotely by Power of Attorney
To create a company remotely without personal presence, issue a notarized power of attorney to our agency’s lawyers, and we will carry out the entity formation on your behalf.
Term: 5-10 days | Price: from 900 €
OUR PRICING PLANS
Corporate Services for non-Residents
Below is a detailed breakdown of the fees for launching a company in Estonia. This includes a comprehensive list of costs associated with various additional corporate and legal services we offer to support your company's setup.
Type of services
Price
Opening a company online with e-Residency | Basic pagkage
375 €
Advanced pagkage
700 €
Company registration in person by visit | Basic pagkage
550 €
Advanced pagkage
850 €
Establishing a company remotely by power of attorney | Basic pagkage
900 €
Advanced pagkage
1200 €
Legal address in Tallinn (price for 1 year)
250 €
Contact person in Estonia (price for 1 year)
250 €
Virtual Office service (incl. legal address and contact person, price for 1 year)
400 €
Legal advice (price for 1 hour)
75 €
Accounting consulting (price for 1 hour)
75 €

* The cost of formation of an entity, regardless of the method, includes payment of all notary and state fees, as well as 1 hour of a legal or accounting advise. The advanced package includes legal address and contact person services for one year. The prices indicated above do not include a possible VAT.

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Why Choose Eesti Firma OÜ?

Eesti Firma OÜ: Your Reliable Corporate Services Partner

Our team of consultants, lawyers, and accountants has specialized in commercial law and foreign business support in the European Union for over 10 years.

Experienced Team of Corporate Advisors and Lawyers

With over 10 years of experience, our team offers the highest quality service, finding solutions for the most complex situations. Top reasons to choose us for establishing a business in Estonia:

Reliable Service Provider
We are a licensed company registrar in Estonia, holding state license No. FIU000144 issued by the Financial Intelligence Unit (FIU).
Years of Experience and Qualified Specialists
Our team comprises experienced consultants, graduate lawyers, and accountants. We have helped incorporate over 3,000 companies in the past 10 years.
All Services Under One Roof
We are a direct service provider, offering all services with our own resources—no third parties involved. All consultants, lawyers, and accountants are employees of our agency.
Quality Guarantee
We guarantee impeccable quality and efficiency, complete confidentiality, and a responsible approach to each client.
Client-Centric Approach
As our client, you can always count on our support, including free legal or accounting advice from our specialists when necessary.

We look forward to becoming your trusted partner and will do everything we can to ensure that your company’s entry into the market meets your expectations.

Step-by-Step Guide to Establish a Company in Estonia

Everything You Need to Know About Starting a Business in Estonia

Establishing a business in a new country is an exciting opportunity to expand your horizons and tap into new markets. Estonia offers a straightforward and efficient process for business formation, making it an attractive destination for entrepreneurs worldwide.

This guide provides an overview of the essential steps to incorporate your company in Estonia, helping you navigate the process with confidence:

Choose your company type
The most common and suitable option for small and medium-sized businesses is the Private Limited Company (OÜ). This structure offers limited liability protection, meaning your personal assets are safeguarded from business debts and liabilities incurred by the company.
Select a unique company name
Ensure your company name is unique and not already registered by another entity. The name must comply with local regulations and include the appropriate legal form abbreviation, such as “OÜ” for a Private Limited Company. It’s important to check the availability of your desired name in the Business Register before proceeding.
Choose the registration method
Decide whether to register your company online or through a notary. Online registration utilizes Estonia’s e-Residency program, allowing you to manage your business remotely using a digital ID. Alternatively, notary registration can be conducted either in person or remotely based on a power of attorney. This provides flexibility if you cannot be physically present in Estonia, as you can authorize a representative to handle the registration on your behalf.
Provide a legal address in Estonia
Secure a local address to serve as your company’s registered office. This address is required for official correspondence and must be a physical location within Estonia. If you don’t have a physical presence, virtual office services are available to fulfill this requirement, providing you with a legitimate business address.
Prepare the articles of association
Draft the Articles of Association, a crucial document that outlines your company’s structure, governance, and operational rules. This document should detail the roles and rights of shareholders and board members, the amount of share capital, procedures for transferring shares, and other essential regulations governing the company’s activities.
Register your company
Submit all required registration documents through your chosen method. If registering online, use the company registration portal and authenticate with your digital ID. If registering via a notary, ensure all documents are properly prepared and, if registering remotely, that the power of attorney is correctly executed. Accurate and complete information will help avoid delays in the approval process. Once approved, your entity will be officially registered in the Estonian Business Register.
Open a business bank account
Set up a corporate payment account to manage your undertaking’s finances. This account is necessary for handling transactions, paying taxes, and receiving payments. You can choose to open an account with an Estonian bank or opt for an international fintech service that supports Estonian companies, depending on your business needs and convenience.
Set up accounting
Arrange for accounting services to ensure compliance with Estonian accounting standards. Hiring a local accountant familiar with Estonian laws can be beneficial, or you can use accounting software that meets legal requirements. Proper accounting practices are essential for accurate tax filings and the submission of annual reports.
Stay compliant with ongoing obligations
Maintain compliance by submitting annual financial statements to the Estonian Business Register and regularly filing necessary tax declarations, including corporate income tax and VAT if applicable. Staying updated on any changes in legislation that may affect your business operations is crucial for ongoing compliance and the smooth running of your undertaking.

By following these steps, you can successfully establish your business in Estonia and take advantage of its innovative business environment. Whether you’re a startup enthusiast or an established entrepreneur, Estonia offers a transparent and efficient platform for your business ambitions.

Estonia vs. Other EU Countries

Unique Benefits of Establishing a Company in Estonia Compared to Other EU Nations

When it comes to forming a company within the European Union, Estonia offers distinctive advantages that set it apart from other member states. Beyond the common benefits of EU membership, Estonia provides a forward-thinking environment ideal for modern businesses.

To understand why Estonia stands out, let’s explore its comparative advantages over other EU countries:

Unique Corporate Tax System
Estonia applies a 0% corporate income tax on undistributed profits, meaning companies are only taxed when profits are distributed as dividends. This encourages businesses to reinvest earnings and fuel growth. In contrast, most other EU countries impose corporate taxes on annual profits regardless of distribution, which can limit a company’s ability to expand using retained earnings.
Effective e-Residency Program
Estonia’s e-Residency program is a pioneering initiative that allows entrepreneurs worldwide to establish and manage an EU-based business entirely online, without the need for physical presence. While some EU countries are beginning to offer digital services, Estonia’s e-Residency stands out for its efficiency and comprehensive functionality.
Innovative Legal Framework
Estonia is at the forefront of embracing new technologies, with progressive laws supporting sectors like blockchain, fintech, and cryptocurrencies. This legal openness provides a nurturing environment for innovative companies. Conversely, many other EU countries have more conservative regulatory frameworks that may hinder the growth of tech-driven businesses.
Eurozone Membership
Estonia is part of the Eurozone, using the Euro as its currency, which eliminates currency exchange risks and simplifies financial transactions within Europe.
Advanced E-Governance Services
Beyond basic digital services, Estonia provides comprehensive e-governance solutions, allowing businesses to handle virtually all administrative tasks online—such as signing documents, filing reports, and paying taxes. This level of digital integration is more advanced than in many other EU countries, where businesses may still be required to complete certain processes in person or deal with paper-based administration.
Vibrant Startup Ecosystem
With one of the highest numbers of startups per capita in Europe, Estonia boasts a dynamic entrepreneurial community. Access to local incubators, accelerators, and a network of experienced mentors provides unique opportunities.

Choosing Estonia for your company formation means tapping into a unique blend of innovation, transparency, and efficiency. These advantages make Estonia an exceptional place to start and grow your business in the European Union.

Additional Services

Legal Support and Corporate Services for Your Company

We offer a full range of services necessary for establishing a company in Estonia, starting commercial activities, and further growing your business. Our corporate and support services include:

Accounting Services
We offer comprehensive tax and accounting Service for local companies. Our specialists provide qualified support in document management, preparing annual reports, filing tax returns, obtaining VAT number and EORI number, accounting for fixed assets, payroll calculations, and more.
Legal Address and Contact Person
Every company formed in Estonia must have a legal address. For enterprises without local residents among founders or directors, we recommend appointing a contact person to receive mail and official notices addressed to the entity. We offer virtual office services, as well as registered address in Tallinn and contact person services for non-resident entrepreneurs.
Legal Services
Our lawyers have extensive experience in corporate and civil law, providing a wide range of legal services. We offer consultations, provide legal opinions, assist in preparing necessary documentation, including corporate documents , and represent you in negotiations or court proceedings if necessary.
Payment Account Opening
We assist in opening of payment accounts with banks and payment service providers (EMI or PSP) in the European Union. We will find and offer the most efficient payment solutions based on your business model and activities.

We offer professional business consulting, accounting, and legal support to startups and established enterprises seeking to restructure internal processes and optimize performance.

Get in Touch for a Free Advice

Contact Us for a Consultation and Price Quote

Are you interested in registering a business in Estonia? For individual price quotations on company establishment and ongoing support, feel free to contact our specialists and consultants!

Corporate services are our specialty!

We will analyze your business model with you and offer the most effective Estonian company incorporation solution to bring your business to the European Union Single Market quickly.

Start a company in Estonia

FAQ | Frequently Asked Questions

Estonia attracts entrepreneurs worldwide thanks to its innovative economy, ease of doing business, and advanced digital infrastructure. Our goal is to provide you with useful information to help you understand the process and benefits of registering your business in Estonia.

Below, you’ll find a list of the most frequently asked questions our consultants encounter. We hope this material will be interesting and useful to you.

How long does it take to register a company in Estonia?
The processing time for registering a company in Estonia is efficient. If you submit your application online via the Commercial Register using e-Residency, it will be processed within one working day. If you submit the application through a notary, either in person or via a notarized power of attorney, it will be processed within five working days.
What is the best legal form for opening a company in Estonia?
The most common and effective form for establishing a legal entity in Estonia is the Private Limited Company (OÜ or osaühing). The minimum requirement is one shareholder and one member of the Management Board. The liability of the partners in a PLC is limited to their contributions to the share capital, making it a secure option for entrepreneurs.
How do I choose a name for my future entity?
The name of a legal entity established in Estonia must be unique, differing from existing entities both in spelling and phonetically. You can check the availability of your desired company name on the website of the e-Business Register. Choosing a unique and memorable name is essential for your brand identity and compliance with local regulations.
Do I have to pay the share capital for an Estonian company?
Yes, you must form the share capital at registration—the minimum amount is 0.01 euros. However, if the share capital does not exceed 50,000 euros, you are not required to submit proof of payment to the Commercial Register.
How can I pay the share capital?
You can pay the share capital in cash by depositing funds into the company’s corporate account. Alternatively, you can make a non-cash contribution by transferring assets, such as equipment or property rights, to the balance sheet. Another option is an equity issuance, where retained earnings from any reporting period are transferred to the share capital.
Can foreigners be founders and directors of an Estonian company?
Yes, foreigners can be both founders and directors of an entity in Estonia. Residents of any country are eligible to set up a company in Estonia without any restrictions, making it an attractive destination for international entrepreneurs looking to expand into the European Union market.
Can a foreign entity be a founder of an Estonian company?
Yes, a foreign legal entity can become the founder of an Estonian company. An entity registered abroad (parent company) can establish an local entity (subsidiary company). To incorporate such a structure, you will need recent official corporate documents (not older than three months) from the foreign entity, detailing its registration information, directors, founders, and beneficiaries.
Can one person be both the shareholder and director of an Estonian company?
Yes, one person can simultaneously be the founder (shareholder) and the director (member of the Management Board) of an Estonian company. This flexibility is particularly beneficial for solo entrepreneurs who wish to establish a company in Estonia and maintain full control over their business operations.
How do I choose the right field of activity for my company?
When registering your company in Estonia, you are required to indicate one intended field of activity. This is purely informative and does not limit your business operations. The field should be selected from the EMTAK classifier, local adaptation of the international NACE classification. Our consultants can assist you in selecting the field of activity that best aligns with your business model, ensuring compliance when you start a business in the EU.
Does choosing a field of activity restrict my business in Estonia?
No, the choice of a field of activity does not impose restrictions on your business operations. Enities are free to conduct activities in any area not prohibited or restricted by law. Typically, the field of activity is not specified in the Articles of Association, allowing you to change or expand your business scope without additional bureaucracy. This flexibility enables your business engage in multiple fields simultaneously.
Can an Estonian company have payment accounts in foreign banks?
Yes, an Estonian company can open and use current accounts with foreign banks and Electronic Money Institutions (EMI) or Payment Service Providers (PSP). Popular services that allow you to open a current IBAN account include Paysera, Wise, and Revolut. This flexibility facilitates international transactions and supports global business operations when doing business in the EU.
Where can I obtain corporate documents for my Estonian company?
You can access electronic versions of your company’s corporate documents on the Business Register’s website. If you require paper versions of documents such as the register card, Articles of Association, Memorandum of Association, and other certified and apostilled corporate documents, you can order them through our services. We assist in providing all necessary documentation for your entity.
Is it mandatory to pay a salary to the director in Estonia?
No, it is not mandatory to pay a salary to the director – a member of the Management Board can perform their duties without receiving remuneration. This allows for greater financial flexibility, especially during the initial stages of your business.
Is it required to keep accounting records and file financial statements?
Yes, all companies in Estonia are required to maintain accounting records, register all transactions, and keep all primary accounting documents. Additionally, all legal entities must submit annual financial statements to the Commercial Register within six months after the end of the fiscal year (usually by June 30). Compliance with these requirements is essential for the lawful operation of your entity.
Is it necessary to file financial statements if my Estonian company was inactive?
Yes, even if your company did not conduct any business activities during the fiscal year, you are still required to submit an annual report, often referred to as a “zero balance,” to the Commercial Register. This ensures compliance with local legislation and maintains the good standing of your business.
Is there a corporate income tax in Estonia?
In Estonia, companies benefit from the absence of corporate income tax on retained earnings. This means that profits are not taxed until they are distributed as dividends to shareholders. This allows you to reinvest earnings freely into business development, asset acquisition, and other investments. Tax obligations arise at a rate of 20/80 (effectively 25%) only when profits are distributed, making Estonia attractive for entrepreneurs seeking tax efficiency.
Does the company have to register for VAT in Estonia?
A company in Estonia is required to register as a VAT payer when its taxable turnover within one business year exceeds 40,000 euros. If your turnover is below this threshold, VAT registration is voluntary. Registering for VAT may be beneficial depending on your business activities and can be an important consideration when starting a business.
Do I need to pay taxes when paying foreign workers?
No, if your company pays salaries or other benefits to employees or freelancers who are not local tax residents, it does not have tax liabilities in Estonia for these payments. The responsibility to declare income and pay taxes falls on the recipients, according to the tax laws of their country of residence. This can simplify international staffing for your business.
How do I find my company’s tax number TIN?
In Estonia, companies do not have a separate Tax Identification Number (TIN). The entity registration number assigned by the Commercial Register serves as the identifier for tax authorities and other state institutions.
How can I register a company online?
To register a company online in Estonia, you need to obtain an e-Residency card. This digital ID card verifies your identity and allows you to sign the registration application electronically. With e-Residency, you can access the Commercial Register’s online portal to complete the entire entity formation in Estonia remotely.
What is e-Residency?
E-Residency is a program offered by the Estonian government that provides non-residents with a digital ID card, known as an e-Resident card. This smart card enables digital signature capabilities, allowing you to sign documents, verify your identity online, and access governmental electronic services, including company registration and management. E-Residency facilitates the process of starting and running a business in Estonia entirely online.
How can I apply for e-Residency?
You can apply for e-Residency by completing the online application form available on the official e-Residency website. The application involves providing personal information, submitting identification documents, and paying a state fee. Once approved, you can pick up your e-Residency starter kit at designated locations worldwide.
Do I need to hire a local director or employees for my Estonian enitity?
No, there is no obligation to hire a local director or employees for your company. You can manage your business remotely, and all directors and shareholders can be non-residents. This flexibility is one of the reasons why many entrepreneurs choose to establish a company in Estonia.
How many shareholders and directors can a company have?
An Estonian company must have at least one founder (shareholder) and one member of the Management Board (director). There is no legal maximum on the number of shareholders or directors an entity can have.
What are the requirements to set up a company in Estonia?
To set up a company in Estonia, you need to submit an application to the Commercial Register that includes the company name, personal details of the founders, directors, and beneficiaries, corporate contact information (phone number and email address), local legal address, details of a contact person if required, the field of activity with an EMTAK or NACE code, and the Articles of Association. Our specialists can assist you in preparing all necessary documents to ensure a smooth business registration.
How are the activities of Estonian enterprises regulated?
The activities of companies in Estonia are regulated by the Commercial Code. This comprehensive legislation governs all aspects of law, including formation, management, and dissolution. The Commercial Code is available in English, providing transparency and clarity for international entrepreneurs looking to start a business in the EU.
Why is Estonia the most attractive jurisdiction for starting a business in Europe?
Estonia is highly attractive for starting a business due to its unique corporate tax system, where there is no corporate income tax on retained earnings. Profits are only taxed when distributed as dividends to shareholders. This allows companies to reinvest their earnings fully into business development and investments without immediate tax implications. Additionally, Estonia’s advanced digital infrastructure, ease of doing business, and progressive legal framework make it an ideal location for entrepreneurs aiming to establish a business in Europe.
I would like to establish a company in Europe. Is Estonia suitable for me?
Yes, Estonia is an excellent choice for establishing a company in Europe. Located in Northern Europe, yhis country has been a full member of the European Union and the common customs area since 2004. By choosing this European country as your primary jurisdiction, you gain access to the EU Single Market, benefiting from free movement of goods, services, capital, and labor. This makes this European country an ideal base for entrepreneurs looking to expand their business into Europe.
How easy is it to start a company in Estonia in comparison with other European countriess?
Starting a company in Estonia is remarkably straightforward compared to other European jurisdictions. THis country consistently ranks highly on the Ease of Doing Business Index due to its advanced e-governance system, minimal bureaucracy, and favorable conditions for foreign investment. The ability to register a company online through the e-Residency program and manage it remotely makes Estonia an exceptionally convenient and efficient option for non-residents aiming to start a business in Europe.

We hope the information provided has helped you better understand the process of starting a company in Estonia and answered some of your questions. Registering a business in this country can open new opportunities and offer many advantages, from an efficient tax system to access to the European market.

If you have any further questions or need additional assistance, do not hesitate to contact our specialists. We are ready to support you at every step of your entrepreneurial journey.

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